Property prices diving by up to a quarter by the end of 2012

Blacklight

FTBFun wrote: »

One of their earlier predictions was really accurate:

http://www.homemove.co.uk/news/23-10-2008/capital-economics-predict-35-fall-in-house-prices.html

Stopped clocks 'n all that:

Batchy

FACT is ... based on THIS information, WHEN will you buy a house?
2015... but wont this be when everyone else is buying a house, so will you actually get the house you WANT? Or will you get a cheap house, that no one else actually wants to live in.

You need to decide, how it will effect you being 5 years older, 5 years less to repay the mortgage. 5 years of HARD saving to get a house you want. What guarantee you will buy a dream house, or are you just happy with a cheap house?

IN 5 years a lot can happen.

I have a lot of ambition, but I am realistic, I brought an above average house (but still an averaged price house), on an above average income. Basically around the 3x multiple. This is what I believe a person who earns an above average income expects (value for money).

Over the years, Ive thought why should I (me) buy a ex council house, that my unemployed friends live in for free, when im earning above average income? It just never made sense, and I could never make any headway into the saving for a deposit, as I believed life was for living, but for 2 years ive saved hard, but enjoyed myself still. And now the opportunities are out there for the hard savers, good credit risk, good solid earners. If they choose to take advantage ... then so be it. If not, then they are taking a small risk, but a risk it is, that they could soon be changing jobs, and finding it difficult to get a mortgage at the right time. House prices could shoot up, or the right property in the right area, just might not be there in the future.

In the last 24 months of looking only 2 properties have really grabbed my attention, one was just out of reach at the time, now this one just fits the bill and is cheaper (althought slightly smaller) but better location still.

lewisa

It says homeowners face a decade in the doldrums as prices will not start picking up until 2020.

Thats awesome news. It means my next house will be cheaper, and probably the one after that!

Who cares if my current house devalues by n%, the savings gained on my next upsize will more than outweigh it.

twadge_face

[IMG]file:///C:/DOCUME%7E1/bir37343/LOCALS%7E1/Temp/moz-screenshot-2.png[/IMG]That map is beautiful. Lovely classic Daily Wail stuff. DOOMSDAY SCENARIO indeed, aka the day of BLESSED HEAVEN AND THE MOHAMMAD's 2nd coming.

Admittedly 2012 is The End of the World as We KnEw.

carolt

Ooh, missed this one.

Thanks, Brit - worth reading.

Exocet

brit1234 wrote: »

DAD HELPED US

Customer adviser Justine McGuire, 21, and boyfriend, chef James Ducker, 23, have bought through a shared-ownership scheme run by her local authority in Wymondham, Norfolk.

They’ve paid £80,000 for a half share of their two bedroom house which they moved into in June.

They had saved £4,000 for a deposit and her father helped to give them a 10 per cent deposit of £8,000. Justine says: ‘Even with a 10 per cent deposit we were finding interest rates of 8 per cent.

Many lenders wouldn’t consider me, due to my age.’ Eventually, she found a three-year fixed rate with Halifax at 5.6per cent.

The fee, valuation and legal services came to £1,700. Their mortgage is £400 a month and they pay £100 rent for the half share to Saffron Housing. They hope to buy the other half next year.

I don't fully understand this. Firstly they hope to buy the other half next year? They haven't bought the first half yet? And secondly - if the buying half costs 400 pounds and the renting half costs 100 pounds, wouldn't they be better off just renting? Will it cost them another 400 to start buying the second half?

I'll tell you what though - banks and solicitors aren't going broke anytime soon... "The fee, valuation and legal services came to £1,700"

Malcolm.

Exocet wrote: »

I don't fully understand this. Firstly they hope to buy the other half next year? They haven't bought the first half yet? And secondly - if the buying half costs 400 pounds and the renting half costs 100 pounds, wouldn't they be better off just renting? Will it cost them another 400 to start buying the second half?

I'll tell you what though - banks and solicitors aren't going broke anytime soon... "The fee, valuation and legal services came to £1,700"

I have drunk a little too much to follow what you've written, however, I'm sure it's up to your normal standard, so I've thanked it anyway.

Exocet

Malcolm. wrote: »

I have drunk a little too much to follow what you've written, however, I'm sure it's up to your normal standard, so I've thanked it anyway.

You were right to thank it, it was a masterpiece of observational humour, dressed up in a satirical question of such sharpness, I almost confused myself.

At first glance it might appear that I was merely posing a barely intelligible question about the young couple's finances, but dig deeper and the words reform into a shattering expose of the capitalist system we have bequeathed to our young folk.

treliac

Exocet wrote: »

You were right to thank it, it was a masterpiece of observational humour, dressed up in a satirical question of such sharpness, I almost confused myself.

At first glance it might appear that I was merely posing a barely intelligible question about the young couple's finances, but dig deeper and the words reform into a shattering expose of the capitalist system we have bequeathed to our young folk.

A literary masterpiece, matched only by one of dopester's.

torontoboy45

treliac wrote: »

A literary masterpiece, matched only by one of dopester's.

absolutely.

in my extensive library - sandwiched between keynes, burke, voltaire, galbraith, and smith - lies a limited and signed edition simply entitled 'thoughts' by dopester. it's arguably the foremost single-volume history of UK economics ever published and has been favourably compared to 'an enquiry into the wealth of nations' in respect of its towering (and awe-inspiring) intellectual insight).

please don't approach me with a view to purchase; I spent a lot of time, effort and money securing this gem.

meanwhile (on my personal 'remainder' shelf) a well-thumbed copy of 'adventures in oz and how Merrie England got shafted' sits.

finally,in a cardboard box located in my garage we find a forlorn and unread pulp fiction copy (unwanted xmas present) of 'crivens! hoose prices never come doon. they didnea an' they willnae'.
the blurb on the jacket explains little, so I offered to donate it to oxfam (who politely declined).